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International R&D collaboration networks

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  • SONG, Huasheng
  • VANNETELBOSCH, Vincent

Abstract

We reconsider the Goyal and Moraga-González (Rand Journal of Economics, Vol. 32 (2001), pp. 686-707) model of strategic networks in order to analyse how government policies (e.g. subsidies) will affect the stability and efficiency of networks of R&D collaboration among three firms located in different countries. A conflict between stability and efficiency is likely to occur. When governments cannot subsidize R&D, this conflict will occur if public spillovers are not very small. However, when governments can subsidize R&D, the likelihood of a conflict is considerably reduced. Indeed, a conflict will arise only if public spillovers are very small or quite large. Copyright � 2007 The Authors; Journal compilation � 2007 Blackwell Publishing Ltd and The University of Manchester.

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File URL: http://dx.doi.org/10.1111/j.1467-9957.2007.01044.x
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Paper provided by Université catholique de Louvain, Center for Operations Research and Econometrics (CORE) in its series CORE Discussion Papers RP with number -2042.

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Handle: RePEc:cor:louvrp:-2042

Note: In : The Manchester School, 75(6), 742-766, 2007
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  1. Brander, James A., 1995. "Strategic trade policy," Handbook of International Economics, in: G. M. Grossman & K. Rogoff (ed.), Handbook of International Economics, edition 1, volume 3, chapter 27, pages 1395-1455 Elsevier.
  2. Amir, Rabah, 2000. "Modelling imperfectly appropriable R&D via spillovers," International Journal of Industrial Organization, Elsevier, vol. 18(7), pages 1013-1032, October.
  3. Goyal, Sanjeev & Moraga-Gonzalez, Jose Luis, 2001. "R&D Networks," RAND Journal of Economics, The RAND Corporation, vol. 32(4), pages 686-707, Winter.
  4. d'Aspremont, Claude & Jacquemin, Alexis, 1988. "Cooperative and Noncooperative R&D in Duopoly with Spillovers," American Economic Review, American Economic Association, vol. 78(5), pages 1133-37, December.
  5. Matthew O. Jackson, 2002. "The Stability and Efficiency of Economic and Social Networks," Microeconomics 0211011, EconWPA.
  6. Hagedoorn, John, 2002. "Inter-firm R&D partnerships: an overview of major trends and patterns since 1960," Research Policy, Elsevier, vol. 31(4), pages 477-492, May.
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Cited by:
  1. Michael D. Koenig & Xiaodong Liu & Yves Zenou, 2014. "R&D Networks: Theory, Empirics and Policy Implications," Discussion Papers 13-027, Stanford Institute for Economic Policy Research.
  2. Lorenzo Zirulia, 2006. "Industry profit maximizing R and D networks," Economics Bulletin, AccessEcon, vol. 12(1), pages 1-6.
  3. Mizuno, Keizo, 2013. "Managerial incentives and endogenous coalition formation with externalities," Mathematical Social Sciences, Elsevier, vol. 66(1), pages 33-43.

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